Mastering the New York Session - Smart Money Concepts Guide

Jasper Osita - Market Analyst

2025-08-14 11:18:36

The New York session is not just “another trading window” - It’s the deciding session of the trading day - the point where liquidity peaks, institutional flows either complete the London narrative or flip the script entirely, and some of the day’s largest moves are delivered.

This is where liquidity peaks, market makers complete their daily accumulation-distribution cycle, and the biggest traps - or the cleanest moves - happen.

Understanding whether NY will pull back, continue, or reverse the London move can mean the difference between banking a day’s profits or watching them evaporate.

Pullback session – a retracement into key institutional zones before resuming the main trend.
Continuation session – a direct extension of London’s momentum.
Reversal session – a complete change in market direction after liquidity objectives are met.

Why the New York Session Matters

From an institutional perspective, the New York session is a liquidity completion phase.

It overlaps with London for a short window (one of the most volatile periods of the day).
It aligns with the U.S. equity market open (which injects large volatility spikes).
It absorbs both European and American order flows, making it a prime time for major market decisions.

For traders using SMC, the session is not about guessing - it’s about identifying what phase of the day’s delivery we are in and aligning execution accordingly.

Understanding the Three NY Session Roles

A. Pullback Session

Occurs when London has established a strong directional move aligned with higher timeframe bias.

NY retraces into a Higher Timeframe Fair Value Gap (FVG), Order Block (OB), or previous session’s liquidity pool before resuming the same direction.
Seen often when the market needs to rebalance imbalances left behind during London’s run.

SMC Tip:

Mark the premium/discount zones from the London move and wait for NY to trade into those areas before looking for continuation entries.

B. Continuation Session

Occurs when London’s trend is strong, unopposed by higher timeframe zones, and liquidity is still resting further along the trend path.

NY builds upon London’s momentum without a deep retrace.
Typically features sustained displacement and clean order flow.

SMC Tip:

On trend days, the overlap between London close and NY open often provides micro pullbacks into M5 or M15 FVGs - ideal for continuation entries.

C. Reversal Session

Occurs when London has already reached or exceeded its liquidity objectives and runs into major Higher Timeframe supply or demand zones.

NY sweeps final highs/lows and delivers a Market Structure Shift (MSS), flipping the daily narrative.
This is where the largest intraday reversals occur.

SMC Tip:

Reversals are higher probability when London’s move is against the higher timeframe bias - NY acts as the “realignment” session.

D. Sideways/Slowdown Session

Occurs when the previous session (often London) has already completed its distribution phase, meaning most liquidity objectives for the day are done.

NY opens with no clear directional conviction, causing the market to consolidate within a range.
Volume can drop significantly, and price often oscillates between intraday equilibrium and minor liquidity pockets.
This is common on days with low-impact news or ahead of major economic events (e.g., FOMC, CPI).

SMC Tip:

If the market is in sideways mode, avoid forcing trades. Either wait for a confirmed breakout with displacement or focus on smaller scalps around well-defined liquidity edges.

The NY Killzone Framework

Phase 1 – London–NY Overlap (8:00–11:00 AM NY Time)

Identify if London’s move is impulsive (likely continuation) or corrective (watch for reversal).
Mark the London high and low - these serve as intraday liquidity boundaries.
Look for sweeps during overlap hours before the true NY move.

Phase 2 – U.S. Equity Open (9:30 AM NY Time)

One of the most volatile 15–30 minutes of the day.
Often triggers false breakouts or liquidity grabs before trending.
Best approach: Let the first 15–30 minutes develop to avoid being the liquidity.

Phase 3 – Delivery to NY Close (12:00–3:00 PM NY Time)

Continuation days: Grind toward next liquidity pool.
Reversal days: Acceleration in the opposite direction.
Avoid overtrading late unless a high-quality HTF setup emerges.

SMC Execution Process for NY Session

Step 1 – Frame the Daily Bias

Use Daily/H4 to define institutional order flow.
Identify the main liquidity targets (previous day high/low, session extremes, HTF imbalances).

In the example above, we are seeing that the institutional order flow is bearish since EUR/USD has been in a downside momentum, basing from the size and consistency of the bearish candles.

This will give us a clue that the next day’s candle would continue to take out lows for bearish continuation.

Step 2 – Study London’s Imprint

Did London leave unfilled FVGs?
Did it take out key liquidity but fail to follow through?
Was the move aligned or against HTF bias?

Pro-Tip: Determine if the London session is in an Accumulation, Manipulation, Distribution phase. This will help you what’s the next phase in New York.

Step 3 – Plan for One of Four Scenarios

Pullback into continuation.
Direct continuation.
Reversal after sweep.
Sideways - Wait!

Step 4 – Drop to Execution Timeframe

Wait for liquidity sweep.
Confirm with market structure shift + displacement.
Enter on FVG retest, placing stop beyond the sweep.

Additional Filters for NY Session SMC Trades

DXY – The USD Barometer

DXY sweeping highs & rejecting = USD bearish → bullish bias on EUR/USD, GBP/USD, Gold.
DXY sweeping lows & rejecting = USD bullish → bearish bias on EUR/USD, GBP/USD, Gold.

News as a Liquidity Event

CPI, NFP, FOMC often act as engineered liquidity grabs.
The first spike is often the trap; confirmation comes after structure shift.

Best NY Session Pairs & Instruments

Forex: EUR/USD, GBP/USD, USD/JPY
Commodities: XAU/USD, XAG/USD
Indices: NASDAQ 100, Dow Jones, S&P 500

Quick NY Session Bias Map

London Move	HTF Bias	NY Likely Role
Bullish trend day	Bullish	Continuation / Shallow Pullback
Bearish trend day	Bearish	Continuation / Shallow Pullback
Bullish into HTF supply	Bearish	Reversal
Bearish into HTF demand	Bullish	Reversal
Choppy London	Neutral	NY decides the trend

Final Thoughts

The New York session is not random - it’s where the liquidity story ends for the day.

By breaking it down into pullback, continuation, or reversal phases, and aligning with higher timeframe bias, you can filter out low-probability trades and focus only on those with institutional alignment.

Instead of reacting to every spike at the NY open, let the market show its hand.

When London’s footprint, higher timeframe bias, and NY killzone setup all align - that’s when SMC traders find the cleanest, most decisive intraday moves.

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This content may have been written by a third party. ACY makes no representation or warranty and assumes no liability as to the accuracy or completeness of the information provided, nor any loss arising from any investment based on a recommendation, forecast or other information supplies by any third-party. This content is information only, and does not constitute financial, investment or other advice on which you can rely.

Author

Jasper has been in the markets since 2019 trading currencies, indices and commodities like Gold. His approach in the market is heavily accompanied by technical analysis and of course, supported by fundamentals. He has a background in trading proprietary firms and has been teaching students how to navigate themselves in the markets from basic to advance concepts.

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Prices are indicative only

Mastering the New York Session - Smart Money Concepts Guide

Why the New York Session Matters

Understanding the Three NY Session Roles

A. Pullback Session

B. Continuation Session

C. Reversal Session

D. Sideways/Slowdown Session

The NY Killzone Framework

Phase 1 – London–NY Overlap (8:00–11:00 AM NY Time)

Phase 2 – U.S. Equity Open (9:30 AM NY Time)

Phase 3 – Delivery to NY Close (12:00–3:00 PM NY Time)

SMC Execution Process for NY Session

Step 1 – Frame the Daily Bias

Step 2 – Study London’s Imprint

Step 3 – Plan for One of Four Scenarios

Step 4 – Drop to Execution Timeframe

Additional Filters for NY Session SMC Trades

DXY – The USD Barometer

News as a Liquidity Event

Best NY Session Pairs & Instruments

Quick NY Session Bias Map

Final Thoughts

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